BUS 401 week 3 DQ 1

Week 3 – Discussion 1

Your initial discussion thread is due on Day 3 (Thursday) and you have until Day 7 (Monday) to respond to your classmates. Your grade will reflect both the quality of your initial post and the depth of your responses.

Cash Flows and Financial Forecast

Pathbuilder is being used in this course and this discussion is currently locked. Prior to beginning work on this discussion you must complete the Computing Cash Flows, Incremental Cash Flows, After-tax Cash flows, Recapture of Depreciation, Gains, and Losses, and Categories of Cash flows modules in the RealizeIt platform. Once the modules are completed and this information has been transferred into the course gradebook this discussion will unlock and you will be able to submit your initial post to the forum.

(Please note that some modules will have prerequisites that must be completed first. You are highly encouraged to start your RealizeIt work early in order to ensure that you have plenty of time to successfully complete all required modules prior to the due dates for your assigned work. If you do not complete any work in the RealizeIt platform, the grade returned from RealizeIt will be a Zero.)

Assume you are planning to start a new business that will sell innovative consumer products via an online store. You will be pitching your idea to potential investors with the goal of securing funding. Your investors are very savvy and want to review a well thought out financial forecast. Using the examples provided in Chapter 6, construct a hypothetical 5 year Cash Flow estimate including depreciation and tax-related amounts. Be sure to show your detailed calculations and document at least five key assumptions. Also, explain why cash flows occurring at different intervals should be adjusted for a common date in order to allow for a proper comparison.

Guided Response: Review several of your classmates’ posts. Respond to at least two classmates by sharing other expenses that may not have been considered. Also, share with your classmates what you have learned from their posts about the costs of working.

Carefully review the Discussion Forum Grading Rubric for the criteria that will be used to evaluate this Discussion Thread.

Respond